Hazira Port (Adani)

From Global Energy Monitor

Hazira Port (Adani) is a multipurpose port in Gujarat, India, operated by Adani Ports and Special Economic Zone Ltd. (APSEZ). The port began handling bulk cargo, including coal, in 2012. According to the 2020 annual report of APSEZ, the port has six operating berths, with a total annual capacity of 30 million tonnes.[1] Three of the operational berths can handle dry bulk cargo.[2] Hazira Port's deep draft berths and mechanized facilities, including an integrated conveyor system, can accommodate fully-laden panamax and capesize bulk carriers up to 14 meters draft.[3]

The Hazira Port area also includes the port facilities operated by Essar Group and the Hazira LNG Terminal, owned by Shell.

Location

The map below shows the bulk cargo berth at the Adani Hazira Port. The port is located on India's west coast, on the Hazira peninsula about 25km west of Surat. The Hazira LNG terminal lies directly to the northwest of the port's container berth, while the Essar Hazira Port is located on the other side of the Hazira peninsula, directly to the east.

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Background

In 2012 Adani Group obtained an agreement with Hazira Port Ltd (operators of the Hazira LNG Terminal) to operate non-LNG facilities at the port. The first five-year phase of Adani's plans called for construction of a coal berth, along with container berths and multi-purpose berths for bulk cargo.[4] According to Adani's website, "Adani Hazira Port Pvt Ltd (AHPPL) has commenced operations in first quarter of 2012. 5 Berths with annual capacity of 35 million tonnes has been developed and operated as part of the first phase. Out of the 5 berths, 2 will cater for the containers, 1 for coal and 2 berth will be used as a multi-purpose terminal for handling vessels of sizes varying from 80,000 DWT to 150,000 DWT." When fully developed the port is planned to have 13 berths & annual capacity to handle 75 million tonnes.[5]

According to the EIA (environmental impact assessment) report for Adani's new Hazira Port facility, filed in February 2012, "Phase 1A was already been developed for handling LNG cargo by HPPL. While developing approved Phase 1B, AHPPL is seeking EC for minor alteration in basin, liquid cargo handling with storage facilities, other dry and general cargo, Ro-Ro terminal for automobile handling, deepening of channel and supporting infrastructure facilities with additional arterial road network connecting to NH-6 and internal road, rail connectivity to all terminals and HT Power Transmission line. As per 15 year Master Plan of AHPPL, Adani Hazira Port shall have 12 multipurpose berths which consist of Container berth (4 Nos), Coal berth (2 Nos), other dry bulk cargo berth (2 Nos), Liquid berth (3 Nos) and Automobile berth (1 Ro-Ro berth). Phase 1B which is part of first 5 year development plan includes 7 berth such as Container berth (2 Nos), Coal berth (1 No), Liquid berth (1 No), Multipurpose berth (3 No). The other development includes deepening and maintenance of channel, basin and jetty sites with (-) 15 m CD draft, back-up facilities like container yard, rail sidings, rail and truck loading facilities, sea water intake and marine outfall facilities."[6]

Although the EIA speaks of seven berths to be developed in the project's first phase, Adani's website only mentions six berths.[2] However, both sources agree that facilities for coal handling will be included in the port's initial phase.

In May 2013 India's Ministry of Environment and Forests (MoEF) granted environmental clearance (EC) and coastal regulation zone (CRZ) approval for Adani's proposed project: a total of 12 berths, including two coal berths, a multi-cargo port, supporting utilities, and infrastructure facilities.[4]

According to press reports, Adani's Hazira container terminal and liquid bulk terminal began operating in 2012[7] and 2013[8], respectively.

In 2016, Adani proposed an outer port expansion at Hazira which would add 19 new multi-purpose berths to the 12 already approved in 2013, bringing the total number of berths to 31. In August 2017, India's Ministry of Environment, Forest and Climate Change approved Terms of Reference (ToR) for the outer port expansion, giving Adani three years to prepare an environmental impact assessment for the expansion.[9] In 2016, the Essar Group, which operates a nearby bulk terminal, challenged Adani's expansion plans in court. However, India's Supreme Court upheld Adani's right to expand in 2018.[10] As of November 2021, it is unclear how much progress has been made on the expansion - APSEZ's 2020 annual report still lists only six operating terminals at the Hazira Port, but it states that Hazira Port has the "potential to handle 75 MMTPA of cargo in the coming years."[1]

In 2019, Hazira Port handled 11.3 million tonnes of coal; it is unclear how much of this amount was handled at Adani's port, and how much was handled at Essar's Hazira Port.[11] In 2020, the Adani's Hazira Port handled a total of 21.6 million tonnes of cargo, including 9.2 million tonnes of dry bulk.[12]

2016: Environmental permit revoked

In an order dated January 8, 2016, the National Green Tribunal held that the environmental clearance granted to the dry and liquid port project in 2013 by the Ministry of Environment and Forest, is "illegal and must be set aside." The tribunal passed its order on a petition filed by Hazira Fishermen Committee that challenged the project on the grounds of damaging the ecology and displacing more than 300 poor fishermen families. The NGT also imposed a penalty of ₹25 crore (approximately US$330,000) for restoration of environment that has been degraded: "What we find from the record is that instead of expanding port work in phase-out manner, expansion was already practically done almost without obtaining environmental clearance and coastal regulation zone (CEZ) clearance." The NGT went on to write that "It is evident from the affidavit of the forest department that this area, which once had abundance of mangrove stretches, presently don’t have any mangrove vegetation."[13] India's Supreme Court refused to put a stay on the revocation of Hazira's environmental clearance, noting that "cancellation of environmental clearance does not affect the shipping and port operations" and directing Adani to pay the ₹25 crore penalty.[14]

Project Details

  • Operator: Adani Hazira Port Private Ltd (APSEZ)
  • Location: Surat, Gujarat, India
  • Coal Capacity (mtpa): 10 million
  • Status: Operating
  • Coal source:
  • Cost:
  • Financing:

Articles and resources

References

  1. 1.0 1.1 Integrated Annual Report 2019-20, Adani Ports and Special Economic Zone Ltd., 2020, p. 9
  2. 2.0 2.1 "Hazira Port," Adani website, accessed November 2021
  3. "Coal: Hazira," Adani website, accessed February 2018
  4. 4.0 4.1 "Adani's multi-cargo port at Hazira gets MoEF nod" The Business Standard, May 10, 2013.
  5. "About Hazira Port" Adani website, accessed February 2015.
  6. "Draft Terrestrial Environmental Impact Assessment Report: Development of Hazira Multi Cargo Port" Cholamandalam MS Risk Services Ltd, February 2012.
  7. "Adani Hazira Port to be commissioned on Aug. 1, 2012" Daily Shipping Times, June 22, 2012.
  8. "APSEZ begins handling liquid cargo at Hazira" Business Standard, December 29, 2013.
  9. "Expansion of Outer Harbour Development of Hazira Port - Terms of Reference," Ministry of Environment, Forest and Climate Change, August 1, 2017
  10. SC upholds Adani’s Hazira port expansion, rejects Essar’s objections, Financial Express, Feb. 23, 2018
  11. Dry Bulk Market: India’s Coal Imports in 2019, Hellenic Shipping News, Feb. 4, 2020
  12. Operational & Financial Highlights, Adani Ports and Special Economic Zone Ltd., 2021
  13. "NGT lambasts Adani group for environment damage in Hazira," The Hindu, Jan 16, 2016
  14. "Setback for Adani Port: SC refuses to stay NGT order," Money Control, Jan 28, 2016

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